Comments on: Alt-A Loans and Pesky Resistant Subprime Loans: The Lingering Mortgage Beast. $1.1 Trillion in Active Toxic Waste Mortgages. PennyMac Ready for Toxic Mortgages. What Happened to the Public-Private Investment Program? http://www.doctorhousingbubble.com/alt-a-loans-and-pesky-resistant-subprime-loans-the-lingering-mortgage-beast-11-trillion-in-active-toxic-waste-mortgages-pennymac-ready-for-toxic-mortgages-what-happened-to-the-public-private/ How I Learned to Love Southern California and Forget the Housing Bubble Thu, 09 Feb 2012 06:16:36 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: latesummer2009 http://www.doctorhousingbubble.com/alt-a-loans-and-pesky-resistant-subprime-loans-the-lingering-mortgage-beast-11-trillion-in-active-toxic-waste-mortgages-pennymac-ready-for-toxic-mortgages-what-happened-to-the-public-private/#comment-38243 latesummer2009 Mon, 03 Aug 2009 20:37:50 +0000 http://www.doctorhousingbubble.com/?p=2092#comment-38243 Great comparison with the Great Depression. This very well could be worse as all the pieces are now put in place. Imagine what would happen if and when the stock market crashes again this Fall. Govt is pulling every trick in the book and still hasn't helped. Trying to persuade public opinion and consumer confidence is all they have left. Pathetic.... So many on the Westside of LA are in denial, or don't want to admit their mistakes. Once summer ends, housing will get crushed here. www.westsideremeltdown.blogspot.com Great comparison with the Great Depression. This very well could be worse as all the pieces are now put in place. Imagine what would happen if and when the stock market crashes again this Fall. Govt is pulling every trick in the book and still hasn’t helped. Trying to persuade public opinion and consumer confidence is all they have left. Pathetic….

So many on the Westside of LA are in denial, or don’t want to admit their mistakes. Once summer ends, housing will get crushed here.

http://www.westsideremeltdown.blogspot.com

]]> By: nHL http://www.doctorhousingbubble.com/alt-a-loans-and-pesky-resistant-subprime-loans-the-lingering-mortgage-beast-11-trillion-in-active-toxic-waste-mortgages-pennymac-ready-for-toxic-mortgages-what-happened-to-the-public-private/#comment-38222 nHL Mon, 03 Aug 2009 02:18:02 +0000 http://www.doctorhousingbubble.com/?p=2092#comment-38222 I've been seeing people writing about how tax payers are the bad holder, and they are suckers at the mercy of the government and wall street gangsters. I am wondering if it has ever occurred to the authors that they are also tax payers. So don't feel sorry for the tax payers but instead think of a way to shift the scale back a little bit. I’ve been seeing people writing about how tax payers are the bad holder, and they are suckers at the mercy of the government and wall street gangsters. I am wondering if it has ever occurred to the authors that they are also tax payers. So don’t feel sorry for the tax payers but instead think of a way to shift the scale back a little bit.

]]> By: rayman in CA http://www.doctorhousingbubble.com/alt-a-loans-and-pesky-resistant-subprime-loans-the-lingering-mortgage-beast-11-trillion-in-active-toxic-waste-mortgages-pennymac-ready-for-toxic-mortgages-what-happened-to-the-public-private/#comment-38213 rayman in CA Sun, 02 Aug 2009 16:13:19 +0000 http://www.doctorhousingbubble.com/?p=2092#comment-38213 If Wells is privately unloading some of their worst junk at 35 cents, they must see that price as a heck of a deal. And that's pretty scary. PPIP bids will come in much under that. If the bad paper is the worst of the worst, it's probably not going to fetch more than two bits at best. That's a heck of a big loss for the banks......or whoever holds the end paper.....nobody knows. The banks really got a break with the suspension of mark-to-market ( M2M )rules by FASB in April ( with heavy government/bank "encouragement "). No way are the banks now carrying their junk on the balance sheet at 35 cents. And no mystery that zombie banks with no heartbeat got well after the change in M2M. Big, big losses became teeny-weeny losses on the balance sheet for the second quarter. And the banks suddenly announce magical profits . The bonus machine rolls on, baby !! I now see that FASB realizes it screwed up with the M2M change after seeing the earnings reports. Now they're trying to reverse the April decision and the banks are fighting them tooth and nail. This change resulted in a material overstatement of bank earnings in the second quarter and FASB is terrified that this tar baby will stick to the AUDITORS. What a mess !! If Wells is privately unloading some of their worst junk at 35 cents, they must see that price as a heck of a deal. And that’s pretty scary. PPIP bids will come in much under that. If the bad paper is the worst of the worst, it’s probably not going to fetch more than two bits at best. That’s a heck of a big loss for the banks……or whoever holds the end paper…..nobody knows.

The banks really got a break with the suspension of mark-to-market ( M2M )rules by FASB in April ( with heavy government/bank “encouragement “). No way are the banks now carrying their junk on the balance sheet at 35 cents. And no mystery that zombie banks with no heartbeat got well after the change in M2M. Big, big losses became teeny-weeny losses on the balance sheet for the second quarter. And the banks suddenly announce magical profits . The bonus machine rolls on, baby !!

I now see that FASB realizes it screwed up with the M2M change after seeing the earnings reports. Now they’re trying to reverse the April decision and the banks are fighting them tooth and nail. This change resulted in a material overstatement of bank earnings in the second quarter and FASB is terrified that this tar baby will stick to the AUDITORS.

What a mess !!

]]> By: latesummer2009 http://www.doctorhousingbubble.com/alt-a-loans-and-pesky-resistant-subprime-loans-the-lingering-mortgage-beast-11-trillion-in-active-toxic-waste-mortgages-pennymac-ready-for-toxic-mortgages-what-happened-to-the-public-private/#comment-38198 latesummer2009 Sat, 01 Aug 2009 16:43:58 +0000 http://www.doctorhousingbubble.com/?p=2092#comment-38198 The clock is ticking faster and louder now on these toxic loans. Throw in desperation in the stock market and we have a disaster in the works this Fall. Over leveraged Westside is going to take a beating and finally wash the last of the garbage loans out. www.westsideremeltdown.blogspot.com The clock is ticking faster and louder now on these toxic loans. Throw in desperation in the stock market and we have a disaster in the works this Fall. Over leveraged Westside is going to take a beating and finally wash the last of the garbage loans out.

http://www.westsideremeltdown.blogspot.com

]]> By: Waiting for 2011 http://www.doctorhousingbubble.com/alt-a-loans-and-pesky-resistant-subprime-loans-the-lingering-mortgage-beast-11-trillion-in-active-toxic-waste-mortgages-pennymac-ready-for-toxic-mortgages-what-happened-to-the-public-private/#comment-38189 Waiting for 2011 Sat, 01 Aug 2009 08:01:09 +0000 http://www.doctorhousingbubble.com/?p=2092#comment-38189 If we all know about this coming Tsunami, then of course the Gov't knows, and it is probably gearing up to do "whatever it takes" to keep the "flood of fairness" from happening as it should. Part of me says there's nothing Obama & co. can do about it, but another part of me worries that they will indeed go thermonuclear on this bitch once the walk-aways and defaults really begin to pile on. Will the gov't (us) simply end up with every bad loan? Will Obama allow millions to live rent-free for years on end, just to hide the facts? (How will that go over with the steady payers?) Will the white house just start paying mortgage payments directly? I think they will at least TRY everything under the sun, until the bail-ers get sick and tired of the bail-ees and revolt in some kind of way. If it was JUST the free market at work here, then the aftermath of the ten-year housing orgy would be very, very predictable. But with all the bank obscurity and scams and bailouts, and all the moral hazards being dished out, there's no telling exactly how this will play out. I want to hear Dr. HBB's absolute worst case scenario for Obama trying to put the brakes on the natural price declines that all the renters of the world like myself are waiting for. If we all know about this coming Tsunami, then of course the Gov’t knows, and it is probably gearing up to do “whatever it takes” to keep the “flood of fairness” from happening as it should. Part of me says there’s nothing Obama & co. can do about it, but another part of me worries that they will indeed go thermonuclear on this bitch once the walk-aways and defaults really begin to pile on. Will the gov’t (us) simply end up with every bad loan? Will Obama allow millions to live rent-free for years on end, just to hide the facts? (How will that go over with the steady payers?) Will the white house just start paying mortgage payments directly? I think they will at least TRY everything under the sun, until the bail-ers get sick and tired of the bail-ees and revolt in some kind of way. If it was JUST the free market at work here, then the aftermath of the ten-year housing orgy would be very, very predictable. But with all the bank obscurity and scams and bailouts, and all the moral hazards being dished out, there’s no telling exactly how this will play out. I want to hear Dr. HBB’s absolute worst case scenario for Obama trying to put the brakes on the natural price declines that all the renters of the world like myself are waiting for.

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